Former Oil Minister Highlights the Feasibility of a Chinese Refinery in Port Sudan

Former Minister of Oil, Ishaq Bashir Jamaa, has emphasized the importance of establishing a second oil refinery in Sudan. This comes as Sudan is in discussions with Russian oil companies in Moscow about building a refinery in Port Sudan and new pipelines. Additionally, the Ministry of Energy and Oil announced that Sudan is exploring a project with China to construct a new refinery in Port Sudan, alongside efforts to rehabilitate the Khartoum refinery and power stations damaged by the ongoing war.

Jamaa explained to Al-Ahdath that Sudan needs a second refinery due to the growing demand for petroleum products, which exceeds 8 million tons annually (including diesel, gasoline, kerosene, jet fuel, and small amounts of furnace oil). He pointed out that even at full capacity, the current refinery’s output is insufficient, forcing Sudan to import up to 70% of its needs as refined products.

He noted that during the oil boom in Sudan, studies for a second refinery in Port Sudan were conducted, with Petronas offering to fund and build the project. However, concerns about South Sudan’s secession—along with 75% of Sudan’s oil production—led to delays and the project’s eventual abandonment.

With the war disrupting operations at the Khartoum refinery, which was built in partnership with Chinese firms, Petronas has revived interest in the Port Sudan project. Jamaa highlighted design flaws in Sudan’s existing pipelines, which currently do not allow for reverse flow to import crude for the Khartoum refinery.

Jamaa argued that a refinery in Port Sudan is a viable and strategic option under current conditions, especially given the existing pipelines transporting products to Khartoum and Madani. He added that the refinery could facilitate surplus exports, particularly in the early stages of its operation.

As for China’s benefit, Jamaa described the project as a strategic investment similar to the Khartoum refinery. He noted that it also offers China a foothold on the Red Sea coast, where other nations are vying for influence. This aligns with China’s Belt and Road Initiative, which passes through the Red Sea to North and Central Africa.

Jamaa concluded by stating that the new refinery presents a valuable opportunity for Sudan to attract foreign investment. Sudan has a proven track record in oil sector investment and infrastructure projects, such as roads and bridges, which could pave the way for further collaboration with China.